PR 21-4A Break-even sales and cost-volume-profit chart OBJ, 3, 4 Last year, Hever Inc. had sales of $500,000, based on a unit selling price of $250. The variable cost per unit was $175, and fixed costs were $75,000. The maximum sales within Hever Inc.'s relevant range are 2,500 units. Hever Inc. is considering a proposal to spend an additional $33,750 on billboard advertising during the current year in an attempt to increase and utilize capacity. Instructions 1. Construct a cost-volume-profit chart indicating for last year. verify your the break-even sales answer, using the break-even equation. 2. Using the cost-volume-profit chart prepared in part (1), determine (a) the income from operations for last year and (b) the maximum income from operations that could have been realized during the year. Verify your answers using the mathematical approach to cost-volume-profit analysis